Yes that behaviour is correct, Emily.
FilmGrade is intended to be used with a DRT / LUT in the output path which takes care of the shadow/highlight roll-off.
I explained the origins of the different grading tools in the first half of my BaseGrade article.
If You are looking for an Exposure / Contrast tool with built in highlight / shadow roll-off within Baselight, You should try out 'Technical Grade'. But please be aware that 'Technical Grade' clips the signal at 0 and 1 without the
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